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America 22, Us 16, Israel 14, Chicago 10, Libya 8, United States 7, Ben Bernanke 7, Cairo 7, U.s. 7, Apple 5, Ben 5, Egypt 5, Stuart 5, Obama 5, Sears 4, Yemen 4, Lifelock 4, Tracy Byrnes 4, Tracy 3, Lyric 3,
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  FOX Business    Varney Company    News/Business.  
   Wall Street news. New.  

    September 13, 2012
    9:20 - 10:59am EDT  

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♪ ♪ ♪ imus in the morning ♪ >> the violence spreads, hatred of america on full display and now, the football fallout. good morning, everyone, is the president's mideast policy collapsing? in yemen, the mob attacks our embassy. in egypt, angry clouds still there in a tense standoff near the embassy in cairo and tomorrow, expect huge anti-american demonstrations across the muslim world.
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no further statements yet from mitt romney or the president, but foreign policy is now a campaign issue. and it's costing you money. gas is spiking, and much of the country pays $4 for a gallon of regular. and it's also overshadowing ben bernanke, we've just received another bleak jobs report. so it's widely expected to announce a new money printing oranges today. stocks though on hold. and violence in the mideast may be keeping wall street in check. yes, another day for the history books, as "varney & company" begins. [ male announcer ] what if you had thermal night-vision goggles, like in a special opsission? you'd spot movement, gather intelligence with minimal collateral damage. but rather than neutralizing enemies in their sleep, you'd be targeting stocks to trade. well, that's what trade architect's heat maps do. they make you a trading assassin. trade architect. td ameritrade's empowering web-based trading platform. trade commission-free for 60 days,
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and we'll throw in up to $600 when you open an account.
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>> thursday, september 13th. the anti-american violence continues across the mideast. in yemen protesters stormed the u.s. embassy, ripped down and burned the flag and set tires on fire. now, eventually yemeni security forces got control of the crowd
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and forced them out of the embassy compound. and look at this, from this morning. angry mobs gathered outside our embassy in cairo and listen to this for a second, can you hear it? police are also using tear gas to break up the protests which are now in their that i remembered day and reports about the reason behind the attack in libya that killed three others. and the attack was not over a movie, but instead a pre-meditated event planned for the anniversary of the september 11th attacks. all of this affects you directly. your money directly. and look at what you are now paying at the pump. gas prices up about 4 cents nationwide in the last three days, and the national average for a gallon of regular hitting almost 3.87 and diesel moved up to 4.12. take a look at how many states are what we're calling the $4
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club. ten states, nearly all of them are where most people live. big population states, $4 a gallon and the mover of the day thus far, oil n a few moments ago, it spiked sharply higher and up and this is the middle east for you, go to our facebook page and tell us what you're paying for gas today and what do you think about america's response to the situation in the middle east. go there now, please. 24/7 we'll read some of your comments on the air. much more overseas on the situation throughout the day. and we'll continue to ask the question, is obama's middle east policy collapsing? one of the top leaders in israel's parliament joins us in our next hour and so does jassa, a critic worldwide. and i'll put it, the only
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country in that region p prospering is israel and the statements of romney. >> the statements were inappropriate and in my view, a disgraceful statement on the the part of our administration, to an apologize for american values.
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>> in the news background today. 382,000 new claims for jobless benefits and that's a negative read on the employment for us, inflation picking up at the producer level and the biggest mover of all the markets thus far this morning is oil. we're now well above $98 a barrel and this is all middle east related and the highest in four months. trading has begun on wall street and we're expecting a 20, maybe 30 point drop for the dow right there on the opening bell and the opening trend is indeed to the down side. question, will the new iphone give apple shares a boost? announced late yesterday, slimmer, lighter, big screen. nicole, where is it. >> it's up and analysts are jumping on board and barclays, a price target of 810 today and they're raising the price target. the other thing about the the
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holiday season they expect a unique holiday season for apple which will benefit from the smaller ipad and mack computers about smart phones and they may see high end smart phone sales next year and apple 47% of that share, and topping samsung. stuart: that's a lot of money, that's likely forecast to pour into apple. what have they got. 110 billion dollars in cash already? they're getting it tomorrow. i think something like that. >> i don't have their cash numbers handy, but they have a lot of money and they're making a lot of money. >> yes, they are, nicole, thank you very much indeed. last month we asked varney regular and fed watcher, david zones, if the federal reserve will print money. here is what he said. >> before the end of this year, we're getting-- bernanke is worried about the market and slow recovery, we will see qe3. stuart: we will see qe3 by the
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end this have year, that means, he says, ben is going to print. we find out today. be sure to tune into the fox business network at noon for coverage of the fed announcement which is coming precisely at 12:30. let's go back to the election, shall we, check the latest poll results. the rasmussen tracking polls, 47-46, romney reversed the weekend's five point deficit reversed it. why isn't governor romney winning more convincinconvincin the virginia g.o.p. victory chairman joins us from d.c. all right, why isn't the governor leading much more convincingly when you've got a lousy job market. a slowing economy, $4 gas and now, what we're calling the near collapse of president obama's mideast policy. >> stuart, i love you, but that's a preposterous question. seriously, if you look back at history and look when incumbent
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presidents are beaten, it always is closing in the final couple of weeks and you hit a 3 point shot and you take the incumbent down. never, never, do you have an incumbent down at labor day. never at all. so, the fact that mitt romney has kept this thing neck and neck, and it's starting to pull ahead now, that's unbelievable. so, i mean, i really think questions like that bee lie that everyone, including the media, believe that president obama has had a failed presidency. stuart: okay, i'm with you on the media. i am a part of it. did you hear yesterday those reporters getting together before mitt romney answered questions, they were working out who would ask which question and how to get him. i've never seen such a disgrateful performance on the part of the established media whatever. that was appalling, your comment. >> stuart, it was absolutely pathetic.
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i don't know if you saw the article from about a week ago from politico that had reporters lamenting this wasn't a fun campaign. that politicians and mitt romney and barack obama need to put the joy back into it. this is not about the media, this is about the american people, the taxpayers. and this is about our strength. now what? you can't have-- and we've had four years of it of the liberal media colluding with the obama campaign trying to get out the narrative. this is the last debt throes and i'm excited to see this end. stuart: is this election now coming-- or is the mideast now becoming a huge issue in the election campaign? my real question is, could the mideast and what's happening there today. could it push the economy into second place in a ranking of issues for voters? >> stuart, i don't think so. and this economy is going to be, or this election is going to be about the economy. and that said, the middle east
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as relates to our economy, you just talked a moment before about soaring oil prices and mitt romney and the plan to get the united states of america, energy independent by 2020. and the fact that the keystone pipeline locked by barack obama. off the coast of virginia, the obama administration is blocking the creation of new jobs and oil exploration, and the middle east and the strangle hold that the middle east has on our economy, will be a major issue in this election, and it's all about the economy. >> and it's all about the economy, and i want it know where we see mitt romney break out and take a convincing lead. and you said, incouple bent always lead at labor day, when does mitt romney jump out ahead. when? >> stuart, i think it's going to be a classic sweet 16 kind of final four matchup where you have an underdog, which clearly, any challenger, including mitt romney is an underdog that hits the three-point shot at the end and the grass roots win and we take our country back and that's
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how this is going to play out. >> i'm going to wait until october before i see a breakout. >> absolutely, and i did mix metaphors, basketball and football, but this is a three-pointer at the end. >> i'll throw some cricket in. appreciate it. see you soon, thank you, sir. >> we've got gas prices, they are climbing higher across the country and take a look at the spikes that we've recorded in these state cities in the just the past week, look at this, columbus, ohio, swing state, got it. 3.95 is the average, but that's up 16 cents in a week. grand rapids, michigan, $4.05. the average for that state up 15 cents in a week. and denver, colorado, 3.65, up 13 cents in a week. and that's a spike by any other name. and while chaos breaks out in the middle east, the economy here at home is clearly weakening and new at 10. disturbing new numbers about the middle class and how much it's
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shrinking. americans making less money. we'll break it down at the top of the hour. back to nicole, sears, and what's this, the biggest loser in the 500, what that. >> it's not in the s&p 500 any longer and recently stepped out and don't forget the other chemical company lined in. and one thing they're noticing since they left the s&p 500 and that was going to be one of my lady stories with this one, they continue to decline. remember, the money managers buy up the 500 stocks and sears has been-- despite it's supposed to be a turn around company and they also had a spin-off this week of their hometown stores and that does well. the truth is, it's under a significant pressure and the retail index is down and this is a huge loser today. >> objectikay, we've got the ma opening and i'm going to call it dead last, two points at the moment. and maybe the market's held in
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check by events in the middle east and we're expecting ben bernanke to announce a money printing operation this afternoon, but right now, that market is flat and the mover is the price of oil. time is money. 30 seconds worth of everything else we're watching for you. in america we sconce stantly hear the violent acts in the middle east are a bunch of radical. a few, really? or is anti-americanism, the violence that widespread? progress in the chicago teacher's strike and children could be back in school tomorrow. we will bring you the latest on that. the new york city board of health on mayor bloomberg's ban on large sized sugary drinks. >> when you think about all of this. e-mail us please varney@foxbusiness.com. thursday morning, 7 early movers, here we are, better than expected results with the jn line education company k-12 and that stock is up 8%. the chemical producer, spartech,
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disappoint and is down. and filtration, not sure how to pronounce that. pall or pal. and chesapeake logic raising money for shares or repay debt. not much. and this one, 2 a share, it's up. and airbus parent. is in merger talks with a british defense company eads a down 9% on that. i believe that's ead. yeah, that one is dobae. that's down as well. and early movers are down and the dow jones industrial average is up 4 or 5 points. all we've got and ben bernanke is expected to print, the market stalled, is it the middle east? is that what's stalling things?
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protection risk-free. 60 days risk-free. use promo code: be secure order now and get this document shredder, a $29 value free. [♪...] call or go online now. [♪...] >> here is the expression we've been using all day. the stock market is stalled. i think down 2 points on the 13,300 index and not stalled the price of oil. up more then a buck. 98 a barrel. everyone thinks that ben is going to print, but as the market, as we said, has stalled. is it because of the middle east or waiting to see what ben is going to do. joining us now from sarasota,
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florida. money morning, tell us, what is it? is it just waiting for ben to see some action when we find out what he's going to do or is the middle east putting a damper on everything? >> i think it's primarily waiting on ben, not that the middle east isn't having some effect on the market. i think it is in terms of waving the price of oil. if oil continues to rise i think an a greater impact on the market and primarily waiting to see what helicopter ben does, if he throws more money, in stimulus or a new program, we're heading higher, if not all bets are off. stuart: he could disappoint. could come with attend helicopter ben, and that would disappoint significantly. on the other hand, he could really just chuck it out there, couldn't he, and please everybody? >> i don't think he's going to do the latter, stuart. i don't think he's going to chuck anything out there. he's always got the luxury of time. based on the language he prpd. it's going to say that we're--
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what he's been saying the last several quarters and maintain the balance of things in terse of the markets. as long as he doesn't disappoint in terms of saying we're not doing any more, we're done or not going to extend further, i think that things will be at a stand still for a long time. we're in this holding period. >> it doesn't look like whatever he does is going to have that much direct immediate impact on the economy. the tactful stock market's another thing, and the economy is aen tyler different story. not much to do before the election? >> i 100% agree with you. the fed is out of bullets in terms of doing anything for the economy. i think the dual mandate has to be addressed and i don't think it's functional in terms of what the fed is able to do. i think that needs to be put back on congress in terms of what congress has to do and administrations have to do and have the power to do these kinds of things. >> i think they're correct, not much they can do. what they've been doing is
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repumping up the stock market which has been articulated as a policy to move things up and make people feel better. stuart: all right, shah, i didn't remember what your position is on buying apple stock, but my question this morning, they've come out with a new apple iphone 5. does that make you want to buy the stock? >> the stock scares me a little at the levels, i think, given the price around 679. i'm not sure where it opened up and trading totally, but it's getting lofty, but i think it's performed because of the products and management and everything they do, they seem to do well, but at some point they're almost going to come out and take a bite out of the apple and stall. if i held it i'd be happy, but looking to put the support underneath it in case it gives back. stuart: you know, you sound luke warm, absolutely luke warm about everything. i don't hear much fire in the belly, much enthusiasm this morning. it's not there, is it? >> no, it's a wait and see period for everyone, i think, in terse of the election, in terms
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of macro events out of europe and some revolution so we think, will it last? will it stick, the constitutional court in germany gave an affirmation of the policies of the ecb. but, still, the details are not there on the drawing board and not sure how they're going to end you up. spain's bond prices have reversed so we have the macro events out there and china is a conundrum, is it slipping or holding, whether there will be more stimulus and nothing has terribly changed. with the market, with the multi-year high, i think it's time for a caution. >> there isn't that much return of the individual investor. a lot of people who trade for a who have hour here, a half hour there. watching the tape along the bottom of the screen. i understand that and i don't see many people buying and holding and traying backwards and forwards, i don't see the interest of the individual investor. do you? >> no, stuart, i don't and you're correct that the interest is tepid at best and in terms of
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actually participating, and anyone 0 does participate, it's fair fairly short-term. i don't think there's long-term faith in the credibility of the markets and certainly lack of transparency in terms of how they're run and happened with the ipo's that come out and the other issues. high frequency trading and some attendant issues. the public is wary of the markets as i think they well should be. stuart: i think we agree. shah gilani, always a pleasure. >> thank you. stuart: 9:49 here is your gold report. are are we this morning with the tension and stuff in the middle east? 1,733 an ounce, virtually dead flat and violence in the middle east have brought angry and disturbing responses from the far left. wait until you hear what some are saying from the blogs to the ivy league. tracy byrnes and charles payne together again and that's what they're talking about first. we'll be back in a moment.
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>> nents like-- incidents like the middle east killings and riots bring out the ugly side of people especially on twitter. and quoting now, hundreds of
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thousands of arabs and muslims slaughtered by americans troops. tell me now why i should care about what's his name plus three. that's in reference to our ambassador and three others killed. and a university professor, and the thea butler. how soon is sam bacile going to be in jail, folks? i need him to go now. when americans die because you are stupid, she doesn't follow. and he's the man, we probably believe made the movie which may be at the cause of the riots. tracy and charles, one of the ironies of free speech. saw what you like and say the awful and stupid things. >> i don't care what faith or religion you are, one more death is not a good thing and you don't applaud it and you don't want to push it out into the world and want more people to do
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the same. they're all wrong. >> a former huffington post blogger said that, death of americans. and now we have an ivy league professor wanting to put a man in jail for make ago movie. charles: and i think these are a few isolated tweets out there. this is a big movement and i believe it's sort of democratic convention-- >> you don't think it's isolated. charles: about the feelings, i don't. i think there's a shift going on, if you listen to speech after speech at democratic convention, it feels like, you know what, something by people who control america, to the rest of the world and the kind of thing. that's thecomeuppance and it's g over, do you >> and raised behind-- >> and stand up and say that and-- >> asinine and everything else, it's a mistake to think these are isolated opinions. stuart: all right, welcome back, tracy. new at ten we'll dig deep into
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the stunning personal wealth, the last four years have not been kind. with our enemies rising up against us in the middle east, what's become of our relationship with our strongest ally, is israel's success in question? the deputy leader of the parliament is about to join us.
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stuart: stock news from the census bureau. the answers to resounding no. details on a sharp drop, for the middle-class. this is just as jobless numbers are beginning to spike up once again. check the big board. go nowhere day in advance of ben bernanke and with the backdrop of the middle east. it is thursday morning and here is the company. the gang is back together. tracy byrnes with charles payne and nicole petallides, floor of the stock exchange. the average american family's income is back where it was. in 1995, the information from them, median household income fell to $50,000.
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and in the peak of 1999. what do you make of this? >> not the case for no q e 3 i don't know what it is. since the announcement of q e 1 in 2008 stock-market that 50% and we have seen no increase in wages and no increase in the labour participation rate over the course of this time so more money and still not help the economy. we haven't seen wages go up over this period. we haven't seen hours worked increased at month but we see the costs of what we pay for down to dance classes all more money. stuart: these are adjusted for inflation. not like comparing apples and oranges but apples and apples. you don't want to see q e 3. that will be printing money. tracy: all it is doing is insuring my children will never leave home. stuart: welcome back. i have got this for you.
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3.5% is the average on 30 year fixed rate mortgages just in from freddie mac and close to the all-time low. i repeat 3-.5%. who would have thought? zynga shares are down again. nicole: down again is a great way to say it because they got a brief pop after mark zuckerberg talked about facebook's outlook. some people start to sell. it is down 2.6% and it is down 70% this year and there has been speculation. don't get the i phone 5 with more gains on it. that will be interesting direct competition. we are waiting for iphone 5 to go down topping today. stuart: $6.77 on apple this morning. $6.83 was the high. nicole: absolutely.
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stuart: thanks. violence in the middle east continues today. the newest flare-up in yemen. the u.s. embassy attacked, a u.s. flag burned. security regained control of the town with teargas. new reports show the violence in yemen and low libya attack that killed 24 people were planned. they weren't a spontaneous reaction to a movie as president obama seemed to say yesterday. >> since our finding the united nations says -- the united states respects all faiths. we reject all efforts to denigrate religious beliefs of others. there is absolutely no justification for this type of violence. none. the world must stand together to unequivocally reject these brutal acts. stuart: joining us now is the deputy speaker of israel's parliament and author of israel:the will to prevail. welcome to the program.
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some people are saying we are now witnessing the collapse of president obama's middle east policy. that is a strong word. would you use it? >> june of 2009 president obama coming to the middle east. going tea jumped. giving a speech in cairo. open a new era. he is trying to appease and look what is happening three years after that. president obama tries to appease those forces and in the middle east it is week and look what happened. the u.s. seemed to be strong and the enemies are afraid of the united states of america and israel, can rely on you and today is different. look at the picture. enemies are not afraid anymore of the united states of america and we are not sure we can rely on the u.s. with the issue of iran. stuart: those are strong words. >> to the picture we have seen
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with what is happening in libya and egypt. president obama is going -- he tries to force out the israelis. stuart: has he tilted toward the muslim world sharply? >> when he was elected he wanted to change the approach after president bush but took it too shark and it will be too late to correct it because people are not afraid because you can push to make concessions and if you show a sign of weakness is dangerous. stuart: president obama spoke by phone for an hour. was it last night or in the middle of the night in the last 36 hours spokesman benjamin netanyahu for an hour. what was the outcome? >> he came to the un general assembly with judges coming to the city of the end of september. and want to make president obama discuss the issue of iran.
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stuart: going to be meeting? >> so far the schedule is not allowing a meeting. the threat in the middle east is not only a threat to israel but to the american people as well. and we present -- stuart: there was not going to be a meeting and they hold a 1-hour phone conversation the middle of the night but there's not going to be a meeting. >> i believe there will be meeting. president obama cannot allow himself to go to a lecture when you see the crisis in the middle east without meeting the prime minister. we have alerts in all the embassies in the middle east. the embassy in tel of the. stuart: in the last election, 2008 the jewish vote in the united states went 78% to president obama. would you speculate on the size of the jewish vote for president obama in 2012? >> i am not interfering in american legend. republican or democrat. i am a proud is really but if you ask about this policy of
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president obama regarding israel i will tell you president obama is not a friend of israel. i give examples of everything he pushed us to build and make concessions and go back to 67 lines. we didn't do it. benjamin netanyahu was strong and has support of the people because he is standing on issues. stuart: i want to talk about your book. if i look across the muslim world that north africa i siqueiros. if i look at israel your book tells me you are thriving. you have a vigorous and dynamic economy that is growing. >> we have a strong economy. 6%. unemployment is 6% and the only reason is the amount of innovation. when you come to israel you get technology. all the things -- people who don't like is real i using -- you name it. the innovation of israel is amazing.
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almost like silicon valley in california. that is what you want to do with security and defense and we will list all our resources in technology and research. stuart: deputy speaker of israel's parliament. thanks to have you with us this morning. three countries and counting. violence against america breaking out across the middle east and this is a failure of the president's policy and what does it say about the middle east that the only prosperous country there is israel? syrian american and critic of his homeland answers questions on what has become a major election issue at 10:25 this morning. here is what you are saying on our facebook page. this from jim. obama immediately attacks the statement that takes hours to put forth a weak statement defending america. cheri says as an american i am disappointed with obama. the radicals here and in the
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middle east are aware of his weak leadership and going to act against the u.s.. follow us on facebook and chime in. nike shares lower. nicole: citigroup putz 90. they can't justify a buy rating. they have a price target to $101 but they have to do that. and $90 price target with stocks at $98.74. they raise it a little bit. the evaluation at this point of what is interesting is analysts talked-about the greatest of all time going into the olympics and soccer games from europe and they were touting it. citigroup downgrading -- stuart: huge sporting events coming. thanks very much. everyone thinks the fed will fringe but would do any good?
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why don't we start with charles? he has an answer. charles: it is going good with some assets. also inflate everything in our lives. with incomes going down, you might have a few bugs in your 401(k) but not enough to change your life. will go to 15,000 and won't matter. the grocery bill doubles and gas goes to $5 a gallon and has a negative impact. stuart: the fed floods out the money, a lot of it goes to the banks. why doesn't it go into the economy? all that money out there why isn't it being made to loans inactivity? charles: they will save spain's banks. ultimately it will come out and banks will somehow come out and listen to him.
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he can't understand the virtuous cycle. looking at 401(k) statements -- [talking over each other] >> over and over again. i am not by any stretch the sharpest kid in a room but even i know there has not been one dollar of that. i can't refinance still. charles: your house is worth more -- [talking over each other] charles: a hell of a truck at one time but maybe it will work. >> it won't work. all it is doing is keeping the kids home. charles: i'm interested in opinions around this. [talking over each other] >> he punted to congress and has no choice. stuart: we will switch gears to talk about soda.
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lawmaker's voting today on bloomberg's proposed ban on large sugary during. some officials calling big drinks a health epidemic. next, big soda in hand on how regulations like this hurt business. back in a moment.
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stuart: it is clear what is the top market story of the day.
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that is a spike in the price of oil. look at that. $90.25. getting close to that $100 mark. tension in the middle east is a big part of the reason. gas prices starting to spike again up 4 sense in the last few days. the national average is $3.80. it is above $4 a gallon for regular and they're the biggest and most popular states in the nation. stocks dead flat. we get the fed decision two hours from now. many people expect ben to announce more money printing. in washington d.c. public memorial for neil armstrong. hundreds of people attending to pay their respects. we are back in 90 seconds.
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stuart: a 90 minute high-speed car chase in las vegas. suspected bank robbers throwing money out the windows. you can see people picking up the cash. that would be illegal. not allowed to do that. you got this e-mail. i was watching the car chase in los angeles on fox news. i am certain the camera zoomed in i could see ben bernanke in the back seat of the vehicle.
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the board of health will vote on whether to ban sugary drinks over 16 ounces. the ban would help curb obesity. there's an editorial by the commissioner of the city health department that reads this obesity epidemic is not a communicable disease -- disease like influence of the more dangerous and more deadly. harold ross is in chicago. i believe you have strong feelings about the ban on large sugary drinks. >> you saw what i had with me this morning. this is misguided because i was lifting weights every time i pulled it to my mouth. i don't think the government should be not only babysitting us but i don't think they should have the power to pick winners and users and this is the first step in something very dangerous and you just wait till universal
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health care starts to come in to play they will ticketing does for eating cheeseburgers on the street. stuart: you cannot link solyndra picking winners and losers as socialized medicine obamacare and the big bulge. the principle is the same in all three instances but that is a stretch. >> i am tying it all together. it starts with the big goal. only certain amount of slices of pizza for any family member and you can't have a cupcake. the biggest problem is is arbitrary. why are they deciding soda is the culprit and not everything else and where do you draw the line? very dangerous precedent and i do not like it one bit. stuart: big brother. i want to pause because tracy byrnes rejoined the company this thursday morning. she has been absent a couple months. would you buy them a 16 ounce
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for 32 ounce soda for movie? >> not for me. stuart: can you actually -- [talking over each other] tracy: the 711 [talking over each other] [talking over each other] tracy: it is my life. >> tracy is making business decisions for her kids. not the government. this is a slippery slope. today mcdonald's announced they are going to go -- mcdonald's will print their calories and everything. stuart: do you have objections to mcdonald's being told -- they were told to print. >> information is power. i have no problem educating the public and making informed decisions. i don't like when it turns into what you can or cannot choose
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for yourself because it only hurts yourself. something like smoking with secondhand smoke that can hurt other people but if you are consuming the big gold or anything else that is on you. stuart: what about allowing smoking in restaurants which i own? my capital, my business, my wrist and everyone enters that smoking area at their own risk with full knowledge? what is wrong with that? >> the affect of smoke gets into the atmosphere, very difficult to contain that in the con fines of one restaurant. that ends up hurting other people. i see that differently but in this case with the beverages and anything else that will come after this, that is dangerous and if this one goes through it will be the first domino to fall. charles: this is not going to change the obesity rates.
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i don't know why ultimately expanding or taxing it to achieve their so-called bowl which they do with cigarettes. it kills 4 people. crushes for people to death. >> not only that but if you want to have that much soda you will buy two of them and it will cost more money and hold two instead of one. stuart: you are on the verge of becoming a libertarian i do believe. >> what do you mean on the verge? stuart: always a pleasure. thanks for the big goal. the big story today is the spreading violence against america in the middle east and whether the policy is collapsing. a syrian american who shoots from the hit when it comes to middle east policy is next. >> the united states has been a nation that respect all faiths. we reject all efforts to denigrate the religious beliefs
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stuart: pete snyder predicting an underdog win for romney in november. tune in to "varney and company" at 9:20. the big board pretty not dead flat but slightly high. 14 points as we wait for ben bernanke and consider events in the middle east. the price of oil is moving. $98 a barrel up more than $1. a spike in the last three days, diesel is at $4.12. sears is a big name we all know. it went down today. nicole: i was looking to see if it was down from september. we saw a gain of 10%. today selling off dramatically. they have a spin-off of their
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home town stores this weekend also been kicked out of the s&p 500. that is interesting as well. not being a heavy duty player anymore. the third thing i will bring up in the huffington coast, over the last 24 hours they have an explicit photo on there website according to these sources that there was a lingerie at and it was see through and customers are outraged. i don't know if that contributes. stuart: i know a few they traders. people who just moved in and they trade across the bottom of the screen. and they may hold a stock for half an hour and they look for a stock goes up and down. if you want volatility, seres is one of their favorite simply because it moves up and down all over the place. they don't know what sears is. they don't know it is a department store. they just want it to go up and down and move in and out.
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>> ron johnson from apple to figure out how to get things on line and have more sales. stuart: thank you very much indeed. the big story continues to be the violence in the middle east. the latest violence popping up in yemen. the u.s. embassy attack and the u.s. flag burned and security forces say they have control of the compound now. protests outside the embassy of cairo continue for the third straight day. our embassy also stormed by protesters and we are learning the attacks in libya were planned to come on september 11th not because -- mocking islam as the president seems to believe. >> since our founding the united states has respect of all faiths. we reject all efforts to denigrate the religious beliefs of others. there is no justification for this type of senseless violence. none. the world must stand together to
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unequivocally reject these brutal acts. stuart: joining us now is the author of a battle for the soul of islam leader and an american islamic forum for democracy. he is president of that organization. welcome back to the program. we are endlessly told that these events in the middle east are produced by a small group of radicals but when we look at the videotape doesn't seem like that. it seems there is widespread dislike and hatred for the united states of america across a broad swap of middle east population. give us the true story. >> you are certainly right. when you have an approach from a president that a country like ours that is supposed to be big on freedom that had this apology that began in cairo in 2009 and you see our embassy had some appeasement and the president's recognizing more than he should this film. is a virus that makes it seem
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america is a pushover. you will see a viral spread that america is a pushover so strong horse of the islamists whether it is the brotherhood in egypt or radicals in libya can continue to push forward but i want to keep it in perspective because the people on the streets in libya were only a few thousand. this was not the millions we saw in cairo or hundreds of thousands in the street in libya that turned over gaddafi. remember the middle east, the old horses and old bosses had rand mobs and there's a lot of truth that this was part of the gaddafi loyalists that wanted to get back at america and kill our ambassador and make us pay a price. we want to put this in perspective. the leadership we have in washington are not pushing back with frank we should be. stuart: you are a practicing muslim. an american citizen and served in the american navy and you want a much more forceful push back from our leadership. perhaps a more vigorous defense
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of what we stand for in america. that is what you want. >> absolutely. why were tomatoes thrown at secretary clinton's car in egypt? they saw the new boss is no different from the old boss in cairo or even libya because we have not been standing up for freedom and liberty. people are saying we are a painter tiger who put our finger in the air. stuart: i have asked you this before. should we now bearing in mind the events of the last two days be spending more money on egypt specifically egypt? >> we should tie strict strength to take away. the president on telemundo couldn't make it clear whether they were an ally or not. we are labor forces and free-market thinkers and liberal thinkers. not the old guard of the secular fascists. we should not stop investing but
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we are investing -- stuart: a difficult thing to do. it doesn't go government to small private enterprise. doesn't work that way. these large aid packages of a billion dollars being readied in a package. you with a stop that. a the money in a different way. that is a difficult thing to do. >> you go to ngos, the long game of freedom. americans fought against democracy that helped defeat communist and socialist not by firing bullets but helping people on the ground. and we do the same along game. there's not a light in the lease that changes the old way of riots and illiteracy and socialism and we can be in the game and held the week courses or let the radicalized like
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we're seeing in syria, or libya. stuart: we hope you will come again. thank you. they 4 of the teachers' strike in chicago but there may be hope that school will be back in session tomorrow. next, a man who says all the striking teachers should be fired. what? make his case next. [ male announcer ] what if you had thermal night-vision goggles,
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stuart: joining the company from chicago is scott. i want to forget about the fed for a second. i am sick and tired of sitting around waiting for been to speak about whether he is going to print money or not. do you care about the events in the middle east in the sense that you are a commodity trader? what is happening in the middle east make any sense the whatsoever? >> absolutely does? that is a hotbed of context. the problems going on over there can affect us even more than printing here. we have to keep an eye on that and it could cause bigger problems down the road. we don't have something brewing over there but the smartest people are not sure how big it
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could be. stuart: is ben going to print or not going to print? i don't think it makes a bit of difference to the vast majority of the population of the united states. maybe a few traders in stock-index futures but the rest of a side don't think it means anything at all. what do you say? >> let's bring it down to what you and i can understand. if you have a son at university drinking a lot of beer and not showing up to any lectures do you solve that problem by sending him more money? do we keep printing more money and pay off credit cards with other credit cards? this has got to end. common sense will take over. stuart: when he stops printing what happens? >> you will see that unless we have true growth and true growth will come from energy and innovation and unless we have those things we are in trouble.
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stuart: that really was brilliant. you summed it all up and got out of this hole that ben bernanke has driven me into an inspired our viewers. you are a popular man. always a pleasure. good stuff. now an update on chicago. the teacher strike in its fourth day but last night the union and city officials reporting progress in negotiations. could return to class tomorrow. steve seybold is author of sex, politics and religion. he is the author of the book how rich people think. and a strong opinion about teachers in chicago. >> we have 74,000 teachers in the state of illinois who are unemployed and would give their left arm to be working at
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$76,000 a year in chicago public schools. >> what about unionization of a group that wants to be known as professional. i don't think professionals should be in an industrial union. what do you say? >> they are professional. educating young people, and there a power grab situation even though they're a lot highest-paid teachers was ridiculous. stuart: you want a long way from reality. we are not going to fire striking teachers or replace them with teachers who are out of work. it is not going to happen. >> it needs to happen eventually and if we have these conversations, critical thinking conversations which is what i write and speak about all the
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time it will start to happen and our wonder where is president obama on this issue and where is arne duncan? where are these leaders? they're playing politics. stuart: is that what your books are all about? you are free market capitalist kind of guy. >> absolutely. free-market build america and will restore america. stuart: are you a libertarian? >> i lean more towards libertarian than anything else. stuart: how do you feel about mitt romney? >> i like mitt romney on the economy but not social issues. stuart: okay. obama you reject completely. >> i like some of the social issues stands president obama has taken. this is a great example of his lack of leadership. he is from chicago. arne duncan used to run the chicago public schools. they haven't commented at all on this case. where is the leadership. he is not a leader. stuart: do you think there's any hope whatsoever of true reform
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in public school system? if so how are we going to get there? >> i think so. we have to break the unions. we have to break the death grip these unions have on the school system. the kids are the ones who are suffering. not the teachers. average family in chicago earning $7,000 a year and average teacher making $76,000 before benefits. stuart: sitting with tracy byrnes, former school teacher nodding her head vigorously. that is a strong expression. break the unions. tracy: they're asking for raises you and i haven't seen in years. and some ladies saying -- parents have to bring their kids to school. there are ripple effects to this. stuart: is it about money or control of who gets hired or
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fired? charles: control and accountability of lack of accountability. i have to tell you something. the changes we started with public school teachers and none of them are public school teachers and it is amazing the commitment of these young teachers. stuart: i want to thank steve c bolt joining us from atlanta. a pleasure having you with us. an outspoken kind of guy we listen to what you have to say. back to nicole petallides. apple and the new iphone. where is apple's stock? nicole: is up $7 give or take. as i told you earlier about barkley's, $810. how does the latest one go? $1,000. appleby and security outperformed rating. these analysts are all over this with high hopes for the stock
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and sale of the iphone 5. stuart: we heard that before. we have heard these grand huge numbers thrown against the board and maybe they will stick and get publicity. you put much faith in a number that why? nicole: the fact that they are much to the upside says that there is potential. 680 now and definitely 700 or 750 so even if they put these astronomical numbers they are believing in stocks. i am thinking that is good news. stuart: i am the guy who ignored my children's advice to buy apple at 57 so i have no right to pass judgment on a big number. stuart: >> looking over the last few years of eight of the last nine including this year which is a winner and many of those years were triple digit gains like 125%. one year was 200%. you really feel like you missed
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out. stuart: thanks very much. >> rubbing it in. stuart: i bought microsoft. three countries where america is under attack in the middle east and we are asking all they whether president obama's policy there is collapsing. my take on that is next. so anyway, i've been to a lot of places. you know, i've helped a lot of people save a lot of money.
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but today...( sfx: loud noise of large metal object hitting the ground) things have been a little strange. (sfx: sound of piano smashing) roadrunner: meep meep. meep meep? (sfx: loud thud sound) what a strange place. geico®. fifteen minutes could save you fifteen percent or more on car insurance. stuart: let me put it like this. stocks in a holding pattern right now. they were dead flat to say the market stalled. we call a holding pattern.
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jobless claims rising to 382,000 last week of 15,000 from the week before. pretty big jump. freddie mac mortgage number coming in at 3.55% close to what i believe is an all-time low. markets are waiting for ben. we will get the announcement this afternoon. will helicopter bans within and draw a freshly printed money? we will see. we are seeing the impact of the events in the middle east on the price of oil which is $98 a barrel of more than $1. we want to show the share price of aerospace stocks. boeing's main rival makes airbus planes with the british company. boeing's chief says that deal is not a company. back with my take. [ engine revving ]
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the new c class is no exception. it's a mercedes-benz through and through. see your authorized mercedes-benz dealer for exceptional offers through mercedes-benz financial services. stuart: i want to wrap together two developments and give you a plea for the future. here is my take on a world without america's leadership, our sinking standard of living and what might happen if we in america could just change course. look across the middle east. you see a single muslim society that is prosperous outside the oil producing sheikdoms of the golf? e.u. cannot. that is a big part of the world and descending into chaotic poverty. japan is close and china slowing dramatically. it is a tense world on shaky financial pillars.
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and america has abandoned leadership roles. .2. back at home we have this headline in today's wall street journal. household income sinks to 1995 levels. the money in our pockets shrinking list spending power and standard of living falling. the reason is the facts are clear. we are not getting better off. america is getting worse off. we are not used to it. we don't like it. number 3 is the opportunity. return to a set of economic values that work. and personal responsibility. you can dismiss this as hopelessly vague. all the values i mentioned are enshrined in dynamic capitalist private enterprise. reject all government all the time. you can imagine what new vigorous an expanding private sector could do for the world
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and ourselves. you want to see stimulus? liberate the $2 trillion corporations hold and turn it loose in the private sector. perhaps it is a pipe dream but i am optimist. i am more american than you think. isn't that right? tracy, welcome back. tracy: it would help every one of us. we are not better off. stuart: we are not leading anybody anywhere. we are getting worse off at home. change course. charles: i agree. those muslim countries you are talking about were all in many states where all the money was sucked up by the government and redistributed in the form of crumbs and when the government has trouble distributing those that fell apart. i would say look at indonesia's. the largest muslim population world trying to embrace capitalism has a 6% unemployment as something we should be paying attention to. doesn't have deradicalize like this in the middle east. stuart: not to mention turkey or
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malaysia or indonesia. charles: the second administration the administration will take that money from corporations or take it. it won't be repatriated. stuart: i wish you were wrong but you are right. back after this. [ male announcer ] let's say you need to take care of legal matters. wouldn't it be nice if there was an easier, less-expensive option than using a traditional lawyer? well, legalzoom came up with a better way. we took the best of the old and combined it with modern technology. together you get quality services on your terms, with total customer support. legalzoom documents have been accepted in all 50 states, and they're backed by a 100% satisfaction guarantee.
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stuart: now to paolo also,
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calif.. yesterday you said nothing stops american innovation so i want to know where are you today and what do you have for us today? >> the heart and soul of silicon valley and they say it is the birthplace of silicon valley. we are at hewlett-packard and it was a real exciting moment because they ship forty-eight million pcs year. we are in hp labs and have a set up all day today. this is unprecedented access inside hewlett-packard labs and we are talking to the head designer stacey will about where are the designs. they have really struggled in the past. they have a lot of management changes. you remember the mark heard drama and the previous the io of this dow component. and iconic company in silicon valley so inside these we are going to see the latest and greatest products and we have what is going to be the most
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unbelievable shelling of what nobody gets to see and that is where it started. it is called the garage. our camera has gone inside where the company started. tiny bronze in palo alto, california where david hewlett and ville packard started this company that turned into the iconic hewlett-packard. at 3:00 eastern we have a fox business exclusive with the ceo who has been entrusted to deal with the transition of a company that has in the past doubled. just announced 29,000 layoffs. how is she going the to bring the morale of this company to take on apple and other companies? back to you and we will see you all day long from silicon valley and hewlett-packard. stuart: the highlight reel is next.
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